The state-run Electricity Generating Authority of Thailand (Egat) has been ordered to reduce power tariffs for low-income earners and small and medium-sized enterprises (SMEs) to help with their living and operating costs, says Deputy Prime Minister Somkid Jatusripitak.
Mr Somkid visited Egat on Thursday and met with the state enterprise's executives.
He pointed out Egat should have a role in helping less capable groups and should work with related agencies to adjust power tariffs.
"Thai GDP has slowed and local economic sentiment is unfavourable," he said.
"Egat has performed better than other state enterprises, so the state power grid should be a factor in the economy."
Power tariffs have been frozen for 16 months. The current rate is 3.64 baht per kilowatt-hour (unit).
Low-income people have a similar power rate to middle and high-income groups. Power bills depend on consumption per month.
The monthly power rates in Bangkok and surrounding provinces are managed by state-run Metropolitan Electricity Authority (MEA).
The rates before value-added tax are 3.25 baht per unit for 51-150 units; 4.22 baht per unit for 151-400 units; and 4.42 baht per unit for above 400 units.
Electricity consumption below 50 units per month is free of charge.
Mr Somkid said this support measure will be part of the state welfare scheme, in which the Finance Ministry injects cash to the scheme's registrants who hold welfare cards.
He said Egat should take advantage of the baht's appreciation to accelerate expansion plans dependent on imports, such as new power plants, transmission lines and liquefied natural gas (LNG).
Egat completed a recent shipment of LNG on Dec 28. The first batch was 65,000 tonnes. Another 65,000 tonnes is scheduled for delivery in April.
Tawatchai Jakpaisal, deputy governor for fuel, said Egat is committed to importing 470,000 tonnes of LNG in 2020 and 1 million tonnes in 2021.
"In 2020, purchasing LNG in spot markets is very attractive because of low prices, so most shipments will come from those markets instead of making long-term purchase contracts at fixed prices," he said.
Egat allocated 36 billion baht to accelerate new investment in two gas-fired power plants in Bang Pakong, Chachoengsao and Samut Prakan.
Energy Minister Sontirat Sontijirawong said the ministry will work soon with related agencies to implement supporting measures.
"A crucial method to help low-income earners is to assist directly by lowering their living costs. The state welfare scheme can easily verify each registrant," said Mr Sontirat.
Last August, the government launched a 316-billion-baht stimulus package to boost economic growth.
The government expects GDP will grow more than 3% this year despite the sluggish global outlook.
The stimulus package consists of three main groups of measures: assistance for people affected by the drought, efforts to mitigate the impact of the global slowdown on the economy, and help for low-income earners and the elderly with the high cost of living.
Of the total 316 billion baht, 50 billion is newly allocated budget while another 50 billion comes under the government's welfare scheme.
The remaining 200 billion baht is distributed through state banks to help ease interest and debt payment burdens for farmers and SMEs.